Macmahon Holdings Limited · ASX:MAH
Macmahon — Macquarie Western Australia Forum November 2021
15 slides from Macmahon's conference presentation, Dec 2, 2021
Slide 1: Macquarie Western Australia Forum November 2021
Macquarie Western Australia Forum November 2021
Slide 2: Important Notice Disclaimer
Important Notice Disclaimer Disclaimer as to forward looking statements The forward looking statements in this presentation reflect views seeking independent legal, financial and taxation advice in relation to held only as at the date of this presentation. the contents of this presentation. This pre
Slide 3: Key Highlights
Key Highlights Secured $2bn in FY21 of new work underpinning positive outlook Awarded post FY21 result Financials Surface Mining Underground Mining Mining Support Outlook Services • Continued growth with record • New contract awards: • New contract awards: • Secured and expanded ✓ FY21 $2bn contract
Slide 4: People Resourcing in Australia
People Resourcing in Australia 5 new projects commenced PROJECT PROJECT PROJECT Foxleigh, QLD Strandline, WA Today Warrawoona, WA PEOPLE IN PLACE PEOPLE IN PLACE PEOPLE REQUIRED 80 65 120 START DATE START DATE START DATE Mar 2021 May 2021 Mar 2022 FY21 FY22 PROJECT PROJECT PROJECT PROJECT Warrawoona
Slide 5: Strategic Overview
Strategic Overview Building a diversified scalable business Improve Invest Diversify Expand Margins and execution Relevance and competitive advantage Build scalability Growth in current markets • Systems and processes • Advanced contractor • Mining Support Services • Additional services with existin
Slide 6: Diversify and expand
Diversify and expand Focused on growing adjacent services to deliver higher returns 4% 3% 7% 22% FY181 FY211 Target 75% 89% EBITDA EBIT(A) ROACE2 EBITDA EBIT(A) ROACE EBITDA EBIT(A) ROACE Margin Margin Margin Margin Margin Margin 16.8% 5.8% 12.1% 18.5% 7.0% 13.5% p 20% p 8% p 15% Capital ROACE Inten
Slide 7: Capital management
Capital management Strong focus on return on capital, supports expected earnings growth and free cash flow potential Return on Average Capital (ROACE)1 FY21 Capex $296m FY22 Capex $270m • Growth Capex, includes: 14.8% – Gwalia 13.9% – Dawson 13.5% Growth 12.1% $153m Growth – Warrawoona $140m – King
Slide 8: Positive Outlook
Positive Outlook Reiterate FY22 guidance FY22 PRIORITIES POSITIVE OUTLOOK • Improve safety performance $1.4bn2 of FY22 revenue secured • Effectively manage COVID-19 • Finalise Batu Hijau Phase 8 extension Order book of ~$5bn • Improve scalability through diversifying earnings in underground and othe
Slide 9: Thank You
Thank You CONTACT Chris Chong Investor Relations and Corporate Development cchong@macmahon.com.au Mick Finnegan CEO & MD mfinnegan@macmahon.com.au Ursula Lummis CFO ulummis@macmahon.com.au www.macmahon.com.au 9 Macquarie WA Forum - November 2021
Slide 10: Appendix
| | MACMAHON x Append
Slide 11: Corporate Overview
Corporate Overview Capital Structure Share Price ($) – 3 years Share Price1 (ASX:MAH) $0.185 0.35 Fully paid ordinary shares (m) 2,155 0.30 Market Capitalisation $398.7m Cash (30 June 21) $182.1m 0.25 Debt (30 June 21) $312.4m Enterprise Value $529.0m 0.20 Net Tangible Assets per share (30 June 21)
Slide 12: Sustainability
Sustainability Focused on improving disclosure and performance 16 material topics ESG Standalone New Sustainability Policy Sustainability Report Safety, Health Strong Minds, Strong Mines Grow Our Own People and Wellbeing WAAMH Award, program 426 developed (graduates, offered to industry apprentices,
Slide 13: COVID-19
COVID-19 PROTECTING OUR PEOPLE, COMMUNITY AND CLIENTS • Communication and education • Health screening and physical distancing protocols • Sanitation and cleaning • Travel restrictions • Remain vigilant whilst acknowledging COVID-19 environment continues to evolve and has the potential to impact the
Slide 14: Key Projects
Key Projects Diversified client portfolio and strong alliances CLIENT END (UNLESS EST. MINE COST CLIENT PROJECT COMMODITY SINCE EXTENDED) END DATE1 CURVE1 Tropicana, WA Gold 2012 2027 2026 Telfer, WA Gold 2016 Sep 2024 2023 Mount Morgans, WA Gold 2017 Nov 2022 2027 Byerwen, QLD Met Coal 2017 Nov 202
Slide 15: Batu Hijau Project
Batu Hijau Project Long term sustainable earnings at world class copper asset Long term sustainable earnings under life of mine contract • Macmahon has life of mine alliance contract for Batu Hijau About AMNT • Second largest copper-gold mine in Indonesia (behind Grasberg) • Batu Hijau is owned by A
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